Europe’s bus market is decarbonising fast, but an increasing share of public spending on fleet renewal is flowing to manufacturers outside the EU. ACEA is calling for urgent action to improve the conditions for bus manufacturing, value creation and innovation in Europe and turn public procurement into a strategic lever.
Europe’s bus market is one of the most dynamic segments of the commercial vehicle industry. New EU bus registrations increased by 22.7% in the first half of 2026, while around 60% of newly registered city buses are now battery-electric.
This growing demand is largely driven by public investment. Most of the approximately 680,000 buses operating in the EU provide services commissioned by public authorities through competitive tenders or public service contracts. In the city bus segment, demand depends entirely on public procurement and funding.
However, as the market expands and accelerates its transition towards zero-emission mobility, an increasing share of this publicly funded demand is being captured by manufacturers from outside the EU. (....)